The type of vehicle you are trying to insure is probably the biggest factor when comparison shopping for the lowest-priced insurance for first-time drivers. Vehicles with higher performance, poor safety features, or high incidents of liability claims will cost substantially more to insure than safer, lower-performance models. The information below presents auto insurance premiums for a selection of the cheapest vehicles to buy coverage for.
|Insured Vehicle||Estimated Cost for Full Coverage|
|Ford Escape XLT 2WD||$8,423|
|Honda CR-V EX-L 4WD||$8,504|
|Hyundai Elantra SE Touring Station Wagon||$9,020|
|Volkswagen Jetta S 2.5 Station Wagon||$9,030|
|Ford Explorer XLT 2WD||$9,474|
|Dodge Grand Caravan CV||$9,480|
|Ford F-150 XLT Super Cab 4WD||$9,554|
|Honda Odyssey EX W/Rear Entertainment||$9,909|
|Toyota Tacoma 2WD||$9,916|
|Ford Edge SEL 2WD||$9,909|
|Chevrolet Malibu Hybrid||$9,990|
|Toyota RAV4 Limited 4WD||$9,995|
|Chevrolet Equinox LT AWD||$9,990|
|Chevrolet Impala LT||$10,000|
|Toyota Camry SE||$10,506|
|Toyota Corolla XLE||$10,512|
|Jeep Wrangler Unlimited Sport 4WD 4-Dr||$10,574|
|Jeep Grand Cherokee Limited 2WD||$10,586|
|GMC Sierra SLT Extended Cab 4WD||$10,595|
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Data rating is based on single male driver age 16, no speeding tickets, no at-fault accidents, $1,000 deductibles, and Florida minimum liability limits. Discounts applied include safe-driver, and claim-free. Information does not factor in specific zip code location which can revise coverage rates considerably.
Looking at the numbers, models like the Ford Escape, Honda CR-V, and Hyundai Elantra are going to be the most economical vehicles to insure for new drivers. The price for car insurance will trend higher because there is more exposure for first-time drivers, but overall those particular vehicles will most likely have the lowest prices available.
One of the more important components that help determine the cost of insurance is where your car is garaged in Tampa. Areas with more people or even just a higher incidence of claims are more likely to have higher rates, whereas more rural areas profit from lower rates.
The information below ranks the highest-priced areas in Florida for first-time drivers to buy an auto insurance policy in. Tampa comes in at #7 with an annual cost of $2,636 for the average insurance policy, which is around $220 monthly.
|6||West Palm Beach||$2,679|
|20||Port St. Lucie||$1,916|
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Annual rates are comparative as the specific area where the vehicle is garaged can lower or raise coverage rates significantly.
The chart below demonstrates how deductibles can impact premium costs when quoting cheap insurance for first-time drivers. The price estimates are based on a married male driver, comprehensive and collision coverage, and no other discounts are factored in.
As shown above, a 50-year-old driver could lower their car insurance rates by $348 a year by increasing from a $100 deductible up to a $500 deductible, or save $524 by choosing a $1,000 deductible. Young drivers, such as the 20-year-old chart data, can cut as much as $1,162 each year just by using higher deductibles.
If you do make the decision to raise your deductibles, it will now be necessary to have emergency funds available to be able to pay the extra out-of-pocket expense that deters many people from opting for higher deductibles.
Difference between liability only and full coverage rates
Saving money on insurance is important to the majority of people, and one good way to pay less for insurance for first-time drivers is to not pay for full coverage. The information below compares insurance prices with and without full coverage. The data is based on no accidents, no driving violations, $1,000 deductibles, drivers are not married, and no policy discounts are applied.
Averaged for all age groups, comprehensive and collision coverage on your policy costs $1,747 per year more than buying just liability insurance. That may make you wonder if paying for full coverage is worth it. There is no exact rule to eliminate full coverage, but there is a general school of thought. If the yearly cost of full coverage is more than about 10% of the vehicle’s replacement cost less your deductible, then it’s probably a good time to buy liability coverage only.
There are some situations where removing full coverage is not advised. If you haven’t paid off your loan, you have to maintain full coverage in order to keep the loan. Also, if your emergency fund is not enough to purchase a different vehicle in case of an accident, you should not consider dropping full coverage.
The importance of shopping around
Tampa insurance rates are calculated based on many things that will increase or decrease the price you pay. Simply improving your credit, buying a new vehicle, or getting a ticket for careless driving may generate price changes that can now make some companies cheaper than competitors. Also, auto insurance companies amend pricing at least once a year in order to be able to pay unexpected claims. Larger than normal claims can result in rate hikes, while a better loss history can result in more affordable Tampa car insurance rates.
To illustrate this example, the bar chart below shows the company with the cheapest car insurance in Tampa, FL for a 45-year-old male driver with a clear driving record, no claims, and great credit. If we compare prices based on his current rating profile, USAA offers the best car insurance rates in Tampa at $1,473 annually. This is $975 less than the average price paid by Florida drivers of $2,448. Amica, Electric, Progressive, and Travelers round out the rest of the cheapest Tampa, FL auto insurance companies.
In the next rate comparison, we’ll give the driver from the first rate comparison a couple of claims, poor credit, and a few traffic violations. Since each auto insurer has a different formula for filing rates in each state, comparing insurance quotes most likely will result in a different set of the cheapest Tampa car insurance companies as shown below.
USAA now has the lowest car insurance rate in Tampa with Mercury, Esurance, GEICO, and State Farm also being competitive. This example demonstrates why it is crucial to do a thorough rate comparison when trying to find cheap insurance rates for first-time drivers. Car insurance prices are influenced by many risk factors and change frequently, so the cheapest option six months ago may now be wasting a lot of money.
How to find more affordable auto insurance for first-time drivers
It’s not impossible to find cheaper rates, and here are some of the better money-saving suggestions that can help Florida drivers get more affordable auto insurance.
- Having too many claims will increase rates substantially
- Bundle car and home insurance and save money
- Avoid accidents
- Good credit can help you save money
- Ensure your driving record is clean
- Raise deductibles to save money
- Keep rates low by comparing prices once a year
The last tip in the list is remarkably vital, as we noted in the prior article. Auto insurance prices in Tampa vary considerably, so drivers shouldn’t be resistant to buy a different policy if a lower price can be found. Many consumers stick with the same company and that’s fine, but we do not recommend it if that dedication is costing hundreds of dollars a year. Now is a great time to compare prices to find cheaper car insurance for first-time drivers.
If you prefer to get some help when trying to find lower insurance rates for first-time drivers, the insurance agencies listed below are a good start to aid you in deciding which coverage meets your needs best.
To find a Tampa insurance agency near you, click the link after the list or click here to compare price quotes now.
Jerry Perez – State Farm Insurance Agent
9724 N Armenia Ave #200 – Tampa, FL 33612 – (813) 931-3000
Central Florida Insurance Agency of Town ‘N’ Country
7753 W Waters Ave – Tampa, FL 33615 – (813) 885-2900
Rip Weachter Insurance Agency
4311 W El Prado Blvd – Tampa, FL 33629 – (813) 831-8889
State Farm: Jeff Ralph
11014 N Dale Mabry Hwy #501 – Tampa, FL 33618 – (813) 969-3331
Allstate Insurance: Paul H. Phaneuf
3641 W Kennedy Blvd F – Tampa, FL 33609 – (813) 353-0303